EUR longs reduced, GBP shorts were pared - RBS

Research Team at RBS, lists down this week’s CFTC CoT survey which covers the week ending September 6th, meaning the latest data cover the August NFP report and the weak US ISM survey data and the figures predate the post-ECB sell off and curve steepening.

Key Quotes

“In rates, ahead of the ECB decision Asset Managers reduced net longs in USs and added to shorts in TYs. Asset Managers also added to long positions in both TUs and FVs. Levered Funds, meanwhile, increased their net long TY position by $3.64bn and increased net shorts in FVs (-$3.24bn). Looking at speculators as a whole, specs either added to net shorts or trimmed net longs across benchmarks except for in TY, where longs were marginally extended.

In FX, speculative accounts added to EUR shorts pre-ECB for the second consecutive week. Asset Managers reduced their net EUR long and Levered Funds increased net shorts in EUR. Speculative GBP shorts were pared this week, but spec shorts in GBP remain near the all-time large. Speculators trimmed longs in JPY this week after increasing their long position in each of the previous five weeks. The spec net long JPY position last week had reached its largest level since April. In the commodity space, AUD and CAD speculative net longs were reduced and NZD net longs were increased.”